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Answer Comments
This is an interesting and very insightful answer, so many thanks.
But the key question is, why assign the VERY worst rooms in the hotel?
Why not assign the best room (that there is no chance of anyone booking) say the 75th best room, in a hotel with 50 confirmed guests and who occasionally gets 10 last mins arrivals.
Why instead assign them the 120th best room in a 120 room hotel ?
It would cost you no more and make them happier?
This would allow you to build a direct relationship with people, and the reality is that many of the people bagging a 4 hotel room for $80 in LAX for a early flight, are likely to be the same people who happily choose that chain again for their $400 per night break in the Keys for vacation and there $600 per night business stay in NYC.
I don like the assumption these are all people who have limited cash and just want the best hotel they can for $80.
Michael Forrest Jones
We do, quite frequently maybe not the best room in the house, but at least we try to give them a little better than they paying for when we able; especially the ones we suspect we can cultivate into a regular customer paying, if not full price, at least a fair rate. But you can count on every hotel to do so. We can do it all the time.
And while we appreciate it that some people must travel on a limited budget, we actually do see quite a few of the ones who are quite capable of paying, but elevate negotiating aggressively to an art form. If you could find a way to rent them a room for ten bucks and not lose too much money doing it, they kvetch and be discontented because you couldn give it to them for nine or eight. (Part of it is that welltodo people did not become welltodo by paying full price for anything that could be negotiated, and aren going to start now. But I suspect with quite a few of those, it not about the money; it a power trip, a competitive, domination thing . . . Unlike far too many administrators I actually worked as a desk clerk and a night auditor, so I seen it.) So, for some people,[url=http://www.sport.fr/economie/airmax.html]chaussure air max[/url], it not worth doing.
Our best rooms are our best rooms, but our rooms aren that bad (if a room was really bad, we take it of order remove it from inventory and not rent it until we made the appropriate repair). In most cases (at least ours) you walking on sixyearold carpet instead of oneyearold carpet in a discounted room. Or, even in our older properties, you watching TV on a set that has a picture tube instead of a flatscreen TV. We might not even be particularly proud of those rooms: indeed, we might want very badly to renovate or upgrade them as soon as we can get ahead a few thousand to do so. But it not like we making you sleep on a rollaway in a housekeeping closet.
For most people, it not the Ritz, but it adequate. It not our best, but it meets at least our minimum standards (and those of our franchise organization), and is still better than what they get paying price at a cheaper hotel. They not getting our best room, but then, they not paying our best rate: the Hotwire rate is what, twothirds of what we regularly charge for a room? (And Hotwire takes a commission off that, so what we get paid for it is even less . . .)
Basic law of economics: beggars can be choosers. You can buy a new Acura for the price of an offlease Accord. If you pay a discount price, you going to have to make your peace with discount quality. (We might try to do a little better by you because like I said we want to turn you from Hotwire customer into our customer for future stays; but for what you paying, you have no right to expect it.) If you not paying our best rate, you not going to get the best room: we save those for people who do pay our best rates, or at least something close.
Likewise, discount airfares don entitle you to fly first class. Unless the airline is actually discounting first class seats, of course, but it would make more sense to me to upgrade some business class passengers who could be identified as frequent flyers, then discount the coach seats to fill the plane . . . At least then, I be making the flight available to people who wouldn be able to fly otherwise and still giving everyone a little more than they pay for . . . But the people who are getting a little more than they paid for are still paying more than the newlydiscounted airfare. The people who are getting the are people who otherwise wouldn be able to fly at all. (People who could otherwise afford to fly but demand the discount as their aren people I willing to work but just so hard, or give up but just so much, to encourage. I use them to fill an empty seat, or an empty room, and get that much out of them, but I just using them. And since they just using me, I not going to feel guilty about the fact that I just using them.)
If paying the Hotwire rate entitled you to the best room in the house, no one would want to pay our regular rate: everyone would book on Hotwire to get the to which they are And while most hotel owners and administrators aren overly troubled with the smarts, even the dumbest ones would pick up on it, and increase the rates it makes available on Hotwire to a level that they could content themselves with even if all their rooms were booked on Hotwire. The discount would no longer function effectively as a discount. In order for the discount to work for anyone, it got to work for everyone; for the hotel as well as for Hotwire or for the customer.
(Indeed, having all rooms booked through online travel agencies, as much as OTA drive me nuts with their big fees and their . . . let get together behind Mike back and screw Mike: we sell you one of his rooms cheaper than he will . . marketing, wouldn be all bad. We could rebrand our hotels under our own brand, and save a fortune in franchise fees by franchise organizations who live to collect royalties by selling franchises, not hotel rooms; and whose reservation referrals themselves as often as not, sometimes more originated at an OTA website. Then we could just rent most of our rooms through the OTA referrals booked directly to us instead of via the franchise organization. Time was, Expedia and Priceline were the OTAs. Now, we can get close to full price out of them: every franchise organization now has a internet rate guarantee now, so they had to start selling rooms at better prices in order to be able to sell any at all; and now Hotwire is the big discounter: by being opaque, they exploit the available loophole in the internet rate guarantees And as that plays out, bigchain franchises, and their 812% royalties and fees, are becoming worth less and less . . .)
It would disrupt Hotwire and render it worthless. Once the becomes the regular, tobeexpected price, that absolutely entitles its buyer to the best he or she can get, it no longer a discount. It just one more negotiated special rate program that going to be very close to, if not equal, the regular price; and the price becomes the sucker rate that you get from people who don know to ask for better, or from customers that you not willing to work too hard to gain or keep. We done it before with AAA, AARP and other rates (because everyone who walks in the door has some sort of to a tenpercent we always set our regular rate at 111% of what we actually hope to get); and we do it again with discount OTA rates.